The year 2022 brought new challenges and opportunities for the housing market. Initially, demand for housing skyrocketed during the pandemic, leading to bidding wars and a highly competitive market. However, the Federal Reserve’s efforts to bring balance and slow price appreciation have made 2022 a transitional year. The rise in mortgage rates due to Fed rate hikes in the latter half of the year has reduced demand for housing, resulting in lower home sales and downward pressure on home prices. Specifically, Ada County saw a 20.8% decrease in total sales compared to 2021, the lowest number of sales since 2014. The higher mortgage interest rates, coupled with the rapid home price appreciation in recent years, have affected buyers’ purchasing power and ability to afford increased monthly payments. As a result, some buyers have adjusted their budgets, while others have put their home search on hold.